... top-down approach, starting with asset allocation across a small set of broadasset classes, such as stocks, bonds, and money market securities. Then we showhow the principles of optimal asset ... people scoffed at being diversified, be-cause the idea of investing in a mix of stocks, bondsand other financial assets meant missing out on some of the soaring gains of tech stocks.But with ... of lawsuits, congressional hearings and pres-idential reform proposals.Diversification—that most basic of investing princi-ples—has returned with a vengeance. During the late199 0s, many people...